TAX FIGHT: Disagreement Over Dollars
Iowa 1st District Congressman Bruce Braley, a Democrat, wants to take President Obama’s tax cut extension plans one more step. The president wants to extend by one year the current Bush/Obama tax breaks for families making less than $250,000. He would raise taxes on those families making more than that. Braley wants the tax break extension for two years, instead of one. Braley said, “For those people concerned about deficit reduction, extending those tax cuts for people earning more than $250,000 will have a dramatic negative impact on the deficit.”
Braley said keeping tax breaks for wealthier Americans would cost the U.S. Treasury $850 billion over the next decade.
Iowa Republican Senator Chuck Grassley, a Republican, strongly disagreed with plans to offer tax extensions to only some Americans. He said the idea to raise taxes on anyone during times of a weak economy makes no sense. Grassley said, “You need to leave as much capital with small businesses, probably with small businesses, but even with big businesses, so that they can hire people.”